Wednesday, July 2, 2014

IN A
country struggling with rampant corruption, a weak judiciary and unstable
government, the Bulgarian banking system has consistently won praise for its
stable institutions, high liquidity and low risk. In the past few weeks that
system has come under attack in the worst run on banks in 17 years.

The central
bank said runs on First Investment Bank (FIB) and Corporate Commercial Bank
(CCB), the country’s third and fourth largest lenders, in the past two weeks
were part of a “deliberate and systematic attempt to destabilise Bulgaria's
banking system”. According to the authorities, criminals tried to disrupt the
system by sending e-mails and text messages urging people to withdraw their funds
from several large banks.